Bengaluru: Chief Minister Siddaramaiah on Wednesday asked Prime Minister Narendra Modi to explain why Karnataka is facing “injustice” in devolution of taxes.
“Karnataka’s share in taxes is decreasing year by year. Kannadigas are sweating it out to pay taxes to the union government, most of which is going to north Indian states,”
Siddaramaiah said in a tweet. “PM Modi, why is only Karnataka facing such injustice? This is the question of 6.5 crore Kannadigas,” he said.
On Wednesday, DH reported that Congress-ruled Karnataka is planning to bring "developed" states together for a strong case before the 16th Finance Commission on making devolution of taxes more equitable.
Karnataka was among the states that lost heavily under the 15th Finance Commission, whose tenure ends in 2025-26.
The 14th Finance Commission gave Karnataka a share of 4.71 per cent in the divisible pool of taxes. The state's share came down to 3.64 per cent under the 15th Finance Commission.
The reduction meant a shortfall of Rs 26,140 crore in just the last three years for Karnataka, Siddaramaiah said.